ECO 550 Operations Decisions
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Operations Decisions
Assignment 1: Operations Decisions
ECO 550- Managerial Economics and Globalization
- Briefly describe the details of the fictitious business that you created for this assignment.
There are currently 100 workers being utilized that work for 20 days per month at a wage of 70 per day. The workers produce 6,000 units of output per month with variable costs of 2,000 per day. The fixed costs are not disclosed and we are told they are "high enough" so the total costs exceed the firms total revenue. The price of the firm's output is 32 and the marginal cost of the last unit is 30.
- Access the current environmental scan factors. Determine the factors that will have the greatest impact on plant operations and management's decision to continue or discontinue operations....
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